Lymangood and Frank find out that Blue Thunder is meant to be used as a offensive crowd control device. Frank and Lymangood also find out that the death of Diane McNeely made have been plotted ahead of time, not just a randon act of violence. Lymangood steals the video tape that has the information on Diane's death, but is tracked and killed as a result. Frank learns that Lymangood hit the tape and has Kate get it and take it to KBLA-TV. Swat teams attack Frank but Frank shoots down the helicopter, and destroyes and F-16 fighter in teh process.The mayor stops the operation after two civilian targets are attacked. Colonel Cochrane attacks Frank in his helicopter, and during Frank's flashbacks, that Cochrane is the one who pushed the Vietcong Soldier out of the helicopter. Frank gets the best of Cochrane and destroys his helicopter killing him. Frank then lands the Blue Thunder in front of a train and gets out before the train hits the Blue Thunder and destroys it. As Frank walks away from the wreckage, a news broadcast is heard that Diane McNeely's murder investigation is opened up again, and an investiage of police officers and government officals begins.